The head of Canada’s largest business organization wants the government to step up internationally and boost its defence spending, saying the country risks becoming irrelevant on the world stage.

“Canada is increasingly being viewed by our partners in the region as a well-meaning but unserious player on the international stage,” Perrin Beatty, president and CEO of the Canadian Chamber of Commerce (CCBC), wrote in his open letter to the prime minister.

Beatty emphasized Canada must do more and develop foreign policy and defence policy to meet the current world’s challenges. He said the country was able to prosper as a result of helping establish order post-Second World War. However, he notes this order can no longer be counted on.

“It is clear that we can no longer take for granted the stable and peaceful international conditions that Canada helped to shape following the Second World War. This moment calls for a sober assessment of our international priorities and a recalibration of how we engage with other nations,” said Beatty.

He praised the government’s Indo-Pacific Strategy released in 2023; however, he notes Canada hasn’t been taking foreign policy seriously. The strategy proposed investments in defence and diplomacy to create important ties in the region to counter China’s influence.

“Unfortunately, with the exception of the Indo-Pacific Strategy, Canadian foreign policy in recent years has frequently appeared, instead, to be reactive and unfocused,” he said. “We have too often concentrated our efforts on policies designed to produce good feelings instead of on those that will produce good results.”

Beatty has also called for a bolstering of trade policies, such as for new liquefied natural gas terminals, among other trade infrastructure.

He warned Canada needs to prepare for an upcoming update to the Canada-United States-Mexico Agreement (CUSMA), the trade deal that replaced NAFTA in 2018. This deal is up for review in 2026.

“Canada should be preparing the ground now through a coordinated outreach campaign by all levels of government and the private sector to demonstrate to America’s citizens why a healthy relationship with Canada is important to them,” said Beatty.

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